The U.S. Federal Trade Commission and 17 state attorneys general filed the long-anticipated lawsuit Tuesday. In a statement, FTC chair Lina Khan alleged Amazon “has used a set of punitive and coercive tactics to unlawfully maintain its monopolies.” (The Logic)
Talking point: The lawsuit claims Amazon prevents others from pricing their items lower than they sell for via Amazon, and requires those wanting to sell via its Prime service to use its costly fulfillment offering, limiting competition. Amazon did not immediately respond to The Logic’s request for comment. The company is facing another FTC lawsuit over claims it tricked customers into signing up for Prime, and has paid a US$25 million settlement in another suit over allegations its Alexa voice assistant violated children’s privacy laws. Amazon and other Big Tech players have faced more scrutiny under Khan, who has long been their outspoken critic. The e-commerce giant has previously requested she recuse herself from investigations involving it.